question archive Which of the following is not a component of the book value of cap O Common stock at par value

Which of the following is not a component of the book value of cap O Common stock at par value

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Which of the following is not a component of the book value of cap O Common stock at par value. Paid in surplus in excess of par. Retained earnings. None of the answers are correct

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Awnser D

None of the options are correct

As the book value of the capital includes three components. They are par value of the outstanding shares, retained earnings that are the profits that are not distributed to the shareholders and securities premium ,the amount that is paid over the par value. Hence the above three options includes the book value of capital.

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